Published on 3/27/2020
Today, President Trump sign into law the Coronavirus Aid, Relief and Economic Security Act (CARES Act). The CARES Act provides much-needed emergency economic relief to individuals, families, and businesses. Not to be lost in all of the essential relief is a change the CARES Act made in the recently effective Small Business Reorganization Act, known as Subchapter V. The CARES Act opens Subchapter V to debtors with debts up to $7.5 million. This is a big deal – it opens Subchapter V relief to a whole new spectrum of business. For now, this is a temporary change. Businesses interested in exploring a Subchapter V bankruptcy should contact Joe Sakay, Adam Doupé or Helen Hapner for more information.
Additional COVID-19 Resources for Businesses
Please visit our COVID-19 Alerts and Resources for Businesses page for an updated list of local and federal resources, along with additional Ryan Swanson COVID-19 practice alerts.
This message has been released by the Bankruptcy, Finance & Restructuring group at Ryan, Swanson & Cleveland, PLLC to advise of recent developments in the law. Because each situation is different, this information is intended for general information purposes only and is not intended to provide legal advice on any specific facts and circumstances. Ryan, Swanson & Cleveland, PLLC is a full-service law firm located in Seattle, Washington.